Ford: Canada deal doesn't cut costs enough

DETROIT, March 14 (UPI) -- Ford Motor Co., joining fellow U.S. automaker Chrysler LLC, says General Motors Corp.'s agreement with its Canadian workers doesn't sufficiently cut costs.

Ford group vice president for global manufacturing and labor affairs Joe Hinrichs said Friday that GM's deal with the Canadian Auto Workers union didn't go far enough to reduce labor expenses for the struggling industry, The Detroit Free Press reported.

"We believe the recently negotiated agreement between General Motors Canada and the Canadian Auto Workers will not keep Ford's Canadian operations competitive in today's global economy," Hinrichs said in a statement. "The GM-CAW agreement will not deliver sufficient labor cost savings compared to auto manufacturing operations in the United States."

Chrysler President Tom LaSorda, testifying before the Canadian Parliament this week, said the GM-CAW deal is prompting his company to consider shutting down its operations in the country, the newspaper said.